The social media platform is hoping to capitalize on its role as a product discovery engine by adding a conversational AI agent and simpler checkout.
TikTok is a significant source of product discovery, and now it’s looking to further enhance its discovery offerings and make the channel an easier place to make a purchase.
More than half — 55% — of TikTok users say the social media platform has helped them make more informed purchasing decisions, according to a survey of more than 11,000 U.S. adults released last week by TikTok and PF Global. An estimated 54 million U.S. consumers went on to purchase a product after watching a TikTok video.
TikTok’s latest commerce tools reignite a question that arrived with third-party shopping agents: Who owns the experience when the customer journey never reaches the brand ecosystem?
When the entire shopping journey occurs outside of a brand’s ecosystem, the company whose products are being bought can lose control over the customer relationship and access to valuable information about that shopper’s preferences and habits.
Customer data is a cornerstone for retailers’ experience, especially if they want to introduce their own AI tools. As customer activity shifts toward alternative channels like third-party AI and social media platforms, companies may need to reexamine how to capture that information.
Brands can also lose control over the experience. When third-party AI makes a mistake, it leaves some shoppers frustrated and retailers may not even know. Even if third-party AI is responsible for a bad experience, the retailer can get stuck with the blame , experts say.
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